Rate Cost Details

This page is accessed via Contract and Rate Management > Contract Management > Rate Record. Then select the Rate Costs tab. Then click Add a Cost.

Use this page to define when and what costs apply to shipments.

Conditions

This section defines when Oracle Transportation Management should apply a cost.

Select the basis for your conditional rule from the Basis drop-down list. You may use up to 4 conditional rules for each cost.
Select an Operator to determine how Oracle Transportation Management evaluates this basis option.
Depending on the operator you selected, enter/select Value(s) to define your conditional rule.
Combine your conditional rules with SELECTED, AND, or OR statements. If you choose SELECTED, Oracle Transportation Management first finds matches for your first conditional rule, and then passes only those matches on to the next conditional rule, and so on.

For example, you could select shipment.weight from the Basis drop-down list, and then select < from the Operator drop-down list. Next, enter the maximum weight this particular rate rule covers, and then select the unit of measure from another drop-down list that appears (pounds, kilograms, etc.). This conditional rule would cover shipments whose total weight is less than the value specified. You can then enter the actual cost in the Charge section.

If you are setting up rates using deficit rating, use the DEFICIT operand to define the intervals, for example weight bands.

Note: If you are setting up rates that include marginal cost calculations, the marginal cost condition should be the last basis defined if Oracle Transportation Management is to render accurate rates.

Use the Effective Date field to specify the effective date of the cost. Use the Expiration Date field to specify the expiration date of a cost.

If the costs will be imposed based on calendar activity, designate a calendar in the Calendar ID field. If the calendar is to be used based on a particular activity, specify that activity in the Calendar Activity field.

Charge

This section defines what costs Oracle Transportation Management should apply when shipments meet the conditions you set up in the conditions section above.

Cost Type

You must select a cost type from the Cost Type drop-down menu. The type you select will determine which set of fields will display. Additionally, the cost type information will be copied to the shipment costs.

There are four cost types:

Charge
Discount
External
Profile

Cost Type: Charge

Enter an actual cost per unit of a basis option, in the Amount text box.
Note: Negative amounts can be entered. This is used when applying rebates as a secondary shipment.
Select the basis option for which the cost accrues from the Basis drop-down menu. This is also called a charge multiplier.
Enter the number of basis options that go with each amount in the Unit text box.
In the second row, you can use basis options starting with SEL_. This enables you to create costs per two different charge multipliers. For example, you can create a cost $100/( shipment.weight pound * shipment.sel_numshipunits 2). This charges $100 for every pound of shipment weight per 2 ship units.

To have Oracle Transportation Management apply a charge of $0, you must enter $0 in the Amount field. If you enter something else in the Amount field and Oracle Transportation Management calculates the charge to $0, Oracle Transportation Management will not apply the charge. An example of the latter is when you have a distance charge of $0.10 per mile, but the distance is 0 miles.

All additional charges (Accessorials, Min, Max, Stop-off, etc.) only apply to feasible base costs even if they are $0.

If you are setting up rates with a DIM factor, your basis must be a DIM basis. For example, the rate basis can be DIMweight but not weight. The conditional rule can contain any kind of basis and need not be a DIM basis.

Cost Type: Discount

If you select this cost type, enter the discount percentage in the Apply Discount Of field. If you mark the Apply Discount Of selection check box, you apply a discount to the current running total of shipment costs. It is possible to enter a negative discount in order to inflate your rate. You can also enter a percentage greater than 100%.

Note: You must use the Charge Sequence field in the Options section to make sure your costs are applied in the right order, so the discount will apply to the cost details that have a smaller charge sequence than the charge sequence of the discount.

Cost Type: External

Use this cost type if the rate will be determined by an external rating engine. Select a rating engine from the External Rating Engine ID drop-down menu and a fieldset from the External Engine Fieldset ID field.

Use the Minimum and Maximum Cost fields to define a absolute minimum and/or maximum for a specific rate record cost.

Note: The Minimum and Maximum Cost fields defined below are costs that apply across all costs. However, this is not valid for a cost type of "Discount" where the above fields are not applicable.

Cost Type: Profile

Rate unit break profiles are very efficient when determining the cost of an item during the rating process, and is advantageous over defining a set of individual rate costs, both in terms of performance and storage space. Rate costs are good when defining a set of unrelated cost conditions, whereas rate unit break profiles are good when defining a table of costs based on a single cost condition.

After selecting a rate unit break profile from the Rate Unit Break Profile ID drop-down menu, click Edit Unit Breaks to open a page where you can enter the charge amount for each unit break.

The property ‘glog.RateGeoCostUnitBreaks.display.max’ controls how many unit breaks are allowed for entering the cost details on this page. The default is 100.

If there are more unit break records for entering the cost details than the property allows or the number of unit breaks across all of the rate costs with cost type ‘Profile’ in a rate record are more than the value specified by the query results limiting properties ‘glog.query.limit.glog.server.query.rate.RateGeoCostUnitBreakQuery’ and ‘glog.query.limit.max’, you get a message along with a button 'You may access all records here'.

This will open a finder result where you can edit charge amount for each of the unit break using the inline editing.

Options

If you enter a cost in the Rate section above, you must select the type of rate you are creating. Create rules of several different types to accommodate various cost needs with one rate record using the following fields:

Select Normal Cost for any rate that is not minimum, maximum, or weighted.

The Minimum Cost is the absolute minimum rate that can be charged. If the total cost of shipping doesn't exceed the minimum rate, the minimum rate is charged for the shipment instead of the actual cost to ship. This allows you to set the lowest cost that can be applied, regardless of what is being shipped or the distance traveled to get there.

The Maximum Cost is the absolute maximum rate that can be charged.

Select Weighted Cost if you are using a weighted cost. The rating engine will add its calculated total to the weighted cost total without affecting the base or total cost of the shipment being rated.

Mark Calculate As Marginal Cost, if this is an excess cost that should be added on to another base cost. For example, you may want to charge a flat $100 per shipment but charge an extra $2/pound for shipments weighing over 500 pounds. To do this:

define a base cost of $100/shipment
define an excess cost (mark this check box) of $2/pound on the same rate cost definition.

Charge Multiplier Option controls how charge multipliers are applied against the specified cost.

Note: When you select the Add individual multiplier values option, the application uses the currency unit defined in the rate offering. However, you can use the property glog.business.rate.rateEngine.rateCostEval.useROCurrency to use the unit of currency defined either from a rate offering or a rate cost.

Example 1: A shipment has 3 ship units.

Ship Unit	Weight (pounds)	Volume (cubic feet)
ship unit 1	3	9
ship unit 2	5	1
ship unit 3	7	11

The cost is $1 per pound of SHIPMENT.SHIPUNITS.WEIGHT. Depending on what your Charge Multiplier Option is your results can be:

Charge Multiplier Option	Result w/Sample Data ($)
Add individual multiplier values	31+51+7*1=15
Largest individual break comparator	N/A
Smallest individual break comparator	N/A
Greatest individual cost	max(31,51,7*1)=7
Choose lowest individual cost	min(31,51,7*1)=3
Collect costs separately	stores costs as individual records rather than as a single total

Example 2: If instead, you rate that same shipment against a rate unit break profile, you can use all the other options too. Say for example your cost is $NULL per pound of SHIPMENT.SHIPUNITS.WEIGHT and your charge break comparator is SHIPMENT.SHIPUNITS.VOLUME.

The rate unit break profile looks like this:

Break Max (cubic feet)	Charge ($/pound)
4	50
10	40
14	30

Depending on what your charge multiplier option is your results can be:

Charge Multiplier Option	Result w/Sample Data ($)
Add individual multiplier values	340+550+7*30=580
Largest individual break comparator	{weight(max(9,1,11))=7}{applicable charge=30}=730=210
Smallest individual break comparator	{weight(min(9,1,11))=5}{applicable charge=50}=550=250
Greatest individual cost	max(340,550,7*30)=250
Lowest individual cost	min(340,550,7*30)=120
Collect costs separately	has no effect on calculations

Marginal Rating for Tiered RBI works by determining the tier for all the shipments that are being aggregated. In this case, The RBI selected in the condition and RBI selected for charge multiplier should be the same.

If you want to determine the tier of individual shipments that are being aggregated, you can not have the same condition RBI and charge multiplier RBI. The RBI charge multiplier should be the RBI that is used for calculating aggregated RBI.

For the below aggregated RBIs you can now select the charge multiplier RBI that satisfies the above.

Those are:

Condition RBI	Charge Multiplier RBI
Tiered Rating Total Shipment Weight	Shipment Total Weight
Tiered Rating Total Shipment Net Weight	Shipment Total Net Weight
Tiered Rating Total Shipment Volume	Shipment Total Volume
Tiered Rating Shipment Chargeable Weight	Shipment Chargeable Weight

As an example for determining the tier for individual shipments considered the below example.

You can consider the rate record configuration would be as follows: (0 - 100 LB = 3 USD) , (100 - 200 LB = 2 USD) , and ( > 200 LB = 1 USD).

There are 2 shipments where Shipment1 = 180 LB, and Shipment2 = 300 LB

For the cost calculation, Shipment1 needs to be divided into two different parts:

The First part 100 LB, is falling under 0-100 LB slab, where shipment costs per ship unit is 3 USD,

So, the first part of cost calculation for Shiment1 would be (100 * 3 USD) = 300 USD

The remaining second part, which is 80 LB weight, is falling under 100-200 LB marginal slab where shipment costs per ship unit is 2 USD

and the second part of cost calculation for Shipment1 will be (80 * 2 USD) = 160 USD

So, the total shipment cost for Shipment1 would be 460 USD, and you will have two shipment costs 300 USD and 160 USD.

For the cost calculation of Shipment2 needs to be divided into two parts:

Since the application already consumed 80 LB of Shipment1 in the slab of 100-200, there is still 20 LB left in this slab.

So, the first part cost of calculation for Shipment2 will be (20 * 2 USD) = 40 USD.

The remaining 280 LB from Shipment2 falls under the >200 LB slab.

So, the remaining part of cost calculation for Shipment2 will be (280*1 USD)=280 USD.

So, the total shipment cost for Shipment2 would be 320 USD, and you will have two shipment costs 40 USD and 280 USD.

Note: For the above logic to work shipments should be recorded one by one using the action Record Shipment For Tiered Rating. If multiple shipments should be recorded using the web action Record Shipment For Tiered Rating, then the property glog.business.shipment.recordForTieredRating.recalcShipImmAfterRecording should be set to true.

Charge Sequence controls in what order your costs are calculated. cost 1 is calculated before cost 2.

The Tier Number field identifies the rate cost with a specific tier when using tiered rating.

The Cost Category ID field is used to assign a cost category. A cost category is an actual object that will be assigned to one or more rate costs in a rate record. These categories can then be grouped into Cost Category Sets which will be used during the Driver Assignment process. During the rating process, only rate costs whose categories are contained in the specified set will be evaluated. The results will be sorted based on total weighted cost and the best option assigned.

Dimensional (DIM) Rate Factor ID in combination with conditional rules allow you to define a separate DIM rate factor for, for example, different commodities or locations. This in turn enables you to share the same rate offering across a whole company but still vary the DIM rate factor for different business units or products. Compare this to defining the DIM rate factor in the rate offering where it is always one DIM rate factor.

Calculate Chargeable Weight/Volume and Dimensional Weight Using: If you select this field value as "Shipment Total Dimensional Weight/Volume", chargeable weight/volume and dimensional weight will be calculated based on the total dimensional weight/volume of the Shipment. If you select this field value as "Sum of Individual Ship Unit Dimensional Weight/Volume", chargeable weight/volume and dimensional weight will be calculated based on the total sum of individual ship units dimensional weight/volume of the shipment.

Use the Rounding and Deficit Calculation fields to define the behavior of all numeric fields during the rating process

Miscellaneous

A tariff is the document that contains the schedule of prices that a service provider has published for the movement of freight.

This information lets the carrier know exactly what rate you want to use. The fields together form a reference to a rate just like the components of a postal address references a location. Compare these field to the fields found on the rate offering.

Tariff Item Number can be used for all types of prices. If the service provider assigns an item number or a numeric extension for the authority number in the reference number to the price, then this element is required. Tariff Item Number is the next step below the Tariff Section. If the Tariff Refnum is like the state name and the Tariff Section is like the city name, then the Tariff Item Number is like the street name.

Enter your Tariff Item Number Suffix, if you have a suffix with your Tariff Item Number. Tariff Item Number Suffix works with the Tariff Item Number and NOT with the Tariff Refnum.

Item Part is a subdivision of an item. The Item Part is like the house number on a street (Tariff Item Number) in a city (Tariff Section) in a state (Tariff Refnum).

Tariff Column is a commodity classification that is used, as a means of control, for grouping of commodities in tariff applications.

Payment Method Code ID indicates the payment method code to be applied to the shipment cost for that rate cost.

The Filed as Tariff check box indicates if this rate cost has been filed as tariff. The default is checked for normal rate geo costs and not checked for spot rate costs. You may want to set up a saved query to notify users if this rate is used.

Tariff Section is the first division of granularity of a tariff and describes where the rate can be found.

Tariff Freight Class Code specifies the freight classification associated with this tariff. Tariff Freight Class Code references a system where the motor carrier industry has classified "goods" by their shipping density instead of their composition or use.

Ex Parte gives the decision reference from a government agency that relates to this rate.

The Cost Code tags a cost or group of costs with an accessorial code for organizational purposes only. This has no effect on the actual rating logic.

The Allow Zero RBI Value check box enables you to rate a shipment on the basis of an RBI (Rate Basis Item) when the total RBI value from the shipment is zero. You must select this check box to allow the zero cost. By default, this check box is not selected.

Here are a couple of examples;

- If a shipment is being charged $1 for every 1 LB of ship unit weight and the ship unit weight of each of the ship units is zero and if you want to charge the shipment only when there is some weight then you will not select this check box.
- For a secondary charge shipment, if you have a rate record defined such that at different stops you charge differently per 1 day of dwell time and if there is a stop where the inbound and outbound shipments start with no time difference, then the dwell time value is zero and hence the rating fails. To allow the secondary charge shipment to rate with zero cost you have to select the Allow Zero RBI Value check box.

Rate Basis Number is a mileage factor published for rating purposes.

Rate Basis Qualifier is a code identifying the type of tariff information contained in segment. Select a Rate Basis Qualifier.

Tariff Distance is the distance on which the rate is based

Distance Qualifier identifies the distance unit. Select a Distance Qualifier.

Use the Description field to optionally record additional information about the rate cost. This description appears as the Shipment Cost Type on the Financial tab of the Shipment Manager when this rate cost is applied to a shipment. If this field is left blank, a default Shipment Cost Type appears such as Base or Discount.